The Transport Board was formed by an Act of Parliament on August 24, 1955.

Before 1955, public transportation in Barbados was provided by a variety of public concessionaires, licensed by the Director of Highways and Transport to operate on specific routes. The private concessionaires were experiencing difficulties maintaining their bus fleets, and by September 1955, the Government of Barbados took over 116 buses from eight concessionaires. These buses were used by the newly established Transport Board on routes formerly held by the private concessionaires.

Bus fares have been maintained at BDS$2.00 in order to facilitate travel by the average citizen. The Board now has a fleet of approximately 304 buses, which include two buses with wheel-chair facilities for the disabled. The Board also has three terminals located at Fairchild Street, Bridgetown; Princess Alice Highway, St. Michael and Speightstown, St. Peter.

A central staging depot is located at Mangrove, St. Philip, a sub-terminal at Oistins, Christ Church and its headquarters is located at Roebuck Street, Bridgetown.

The organisation is now operating on 98 routes across the island making public transportation accessible to as many commuters as possible.